Hi Dear All it is deductable exp. interest paid on S.T.
Angad kr kannaujiya (Studant) (169 Points)
03 February 2011Hi Dear All it is deductable exp. interest paid on S.T.
siri
(CFO)
(174 Points)
Replied 03 February 2011
penalty, interest and fine paid/ payable under direct taxes is not deductible., however penalty which is compensatory in nature & which is paid for breach of a contract or statue is deductible. if something more is payable than that , then it is not deductible.
Pankaj Arora
(Learner)
(3134 Points)
Replied 03 February 2011
Agree with above answer but what are asking about service tax or wat?
Angad kr kannaujiya
(Studant)
(169 Points)
Replied 03 February 2011
it is interest piad on service tax coz S.T. rcvd in the month of jun-10 but show in the II installment ( july-10)
CA Devender Chauhan
(Group Financial Accountant)
(1526 Points)
Replied 03 February 2011
not deductible in your case for the purpose of income tax
CA Hrishikesh Khatri
( )
(91 Points)
Replied 04 February 2011
Akash Rustagi
(Manager Accounts)
(22 Points)
Replied 04 February 2011
if any interest is paid on delayed payments like service tax, excise duty or vat etc is deductible expenditure. Interest on late payment of tds or income tax u/s 234 a,b,c is not deductible and same is added back in computation of income.
NARENDER PAWAR
(CA final Student)
(337 Points)
Replied 05 February 2011
Interest on late payment of service tax is allowed u/s 40((a) of income tax act.
Live class on PF & ESI Enrollment & Returns Filing(with recording)
CAclubindia
